More than 20 tankers with Russian oil stuck near India and China

Oil volumes at sea have surged, with supplies stalling despite the highest shipments from Russia in 2.5 years.

At least 20 tankers carrying Russian crude have formed a jam off the coast of India and China, Bloomberg  reports.

Russian crude at sea has increased by 48% since late August. Over the past four weeks, Moscow has managed to ship about 3.87 million b/d (~200,000 b/d more than a week earlier), partly thanks to the resumption of regular shipments from Primorsk.

Meanwhile, some Russian refineries are operating below seasonal capacity amid Ukrainian drone strikes. Among those damaged is the Yaroslavl refinery (about 300,000 b/d), one of the ten largest in the country, which has freed up additional crude for export but has not solved bottlenecks in unloading in Asia.

At the same time, the US is stepping up its actions against tankers traveling to/from Venezuela. This is also alarming Russian oil shippers, who fear that their flights may also be under attack.